Looking for a new credit card? Read our guide to find out about getting pre-approved before you apply.
Looking for a new credit card? Read our guide to find out about getting pre-approved before you apply.
A pre-approved credit card is a card that the card provider thinks you’re likely to be accepted for based on the information they have on you.
Getting pre-approved is a good idea as applying for lots of cards in a short space of time can damage your credit score.
Each time you apply for a credit card, the lender carries out a hard search of your credit file. This leaves a mark on your file which other lenders can see. Too many hard searches indicate that you could have financial problems and are a higher risk. This could result in you being offered higher interest rates, lower credit limits or rejected.
A pre-approval check leaves only a soft search on your file. This can’t be seen by other lenders and doesn’t harm your credit score.
But if you then go on to apply for the card, the card provider will carry out a hard search on your file which other lenders can see, and which might affect your score.
You can get pre-approved by using an online eligibility checker.
You’ll be asked for some information about yourself, and a soft search of your credit file will be made. Using this data, the eligibility checker will tell you which cards you’re pre-approved for and the likelihood of being approved for any other cards.
If you are pre-approved this does not mean you will automatically be accepted for the card when you apply. Also, when you apply the credit card provider will carry out a hard search on your file which will be visible, and which could affect your credit score.
Comparing deals with Experian takes less than two minutes and won’t harm your credit score. But remember we’re a credit broker and not a lender†.
Getting pre-approved means you should get accepted at the interest rate shown. But while this significantly reduces the chance of being rejected, it doesn’t guarantee acceptance. You’ll still have to apply as normal, undergo a hard credit check, and pass the fraud, verification and ID checks.
The advantage of checking your eligibility is that it gives you a good indication of which cards you’re likely to be accepted for, reducing the chance of multiple rejections.
It depends on your credit score, any information the lender holds on you, the information on your application form and the lender’s own criteria.
If you have very little credit history or bad credit, you might only be eligible for a credit builder card. These have high interest rates and low credit limits. But they can help you build up your credit score, making it easier to get a better card in the future.
If you have a good credit score, you may qualify for different card types such as a 0% balance transfer card, a 0% purchase card, a rewards card or a combined 0% balance transfer and purchase card.
You can check your eligibility rating for credit cards and personal loans when you compare them with Experian. It’s free and your credit score won’t be affected.
You’ll need to provide some basic personal, employment and financial details. These include things such as if you rent or have a mortgage, are in full- or part-time work, your income, and the number of financial dependants you have.
You can make yourself more attractive to lenders by:
Checking your credit report from each credit reference agency for accuracy (mistakes can mean you’re refused credit)
Reducing or clearing any existing debt you have
Taking steps to improve your credit score
Paying bills and debt repayments on time
Get your free Experian credit score. If your score is low, there are steps you can take to improve your credit score.
Next, review your finances to see if there are changes you can make such as reducing the amount of debt you have. Then try an eligibility checker again.
To get fast credit card approval, do everything online.
Check your credit record to make sure everything’s in order.
Do an online eligibility check.
Compare cards and choose which one to apply for.
Apply online. In some cases, you could get an instant approval.
Credit builder cards are usually the easiest to get. Designed for those with a low credit score due to little credit history or bad credit, they come with high interest rates and low credit limits.
Credit card pre-approvals are based on your information and the lenders’ criteria at the time you carry out the check. Do a new check whenever you want to apply for a new card.
When you apply for pre-approval, a soft check is carried out and this does not appear on your file and will not affect your score.
If you are pre-approved and then go on to apply for the card, a hard search will be carried out. This will appear on your file and if you’re rejected this could lower your credit score.
It’s worth remembering that just because you’re pre-approved doesn’t mean you’ll automatically get a card when you apply, and a hard search is carried out.
Having a low credit score can make it harder to get credit. And if you’re approved, it may only be for small amounts of borrowing and at high interest rates.
The good news is that there are things you can do to build your score. And for personalised tips on how to grow your score, you could try CreditExpert
You can see your pre-approved offers when you compare credit cards with us. It’s free, takes two minutes and it won’t affect your credit score.
To make things even easier, you can create a free Experian account. You only need to input your information once and then you can check your eligibility rating any time you like.
We're a credit broker not a lender†